The World Trade Organization (WTO) is an intergovernmental organization that regulates international trade. The WTO officially commenced on 1 January 1995, signed by 123 nations on 15 April 1994, replacing the General Agreement on Tariffs and Trade (GATT), which commenced in the year 1948.
The following are the main differences between the General Agreement on Tariffs and Trade (GATT) and World Trade Organization (WTO).
General Agreement on Tariffs and Trade (GATT)
World Trade Organization (WTO)
|1||GATT is a set of rules and multilateral agreement.||WTO is a permanent institution.|
|2||GATT is designed with an attempt to establish International Trade Organization.||WTO is established to serve its own purpose.|
|3||It was applied on a provisional basis.||Its activities are full and permanent.|
|4||Its rules are applicable to trade and merchandise goods.||Its rules are applicable to trade in merchandise services and trade in related aspects of intellect.|
|5||GATT was originally a multilateral instrument, but plurilateral agreements were added at a later stage.||Its agreement is almost multilateral.|
|6||Its dispute settlement system was not faster and automatic.||Its dispute settlement was faster and automatic.|
|7||It had contracting parties.||It has members.|
|8||It has no provisions for creating an organization.||It has a legal basis because member nations have verified the WTO agreements.|
|8||GATT is ad-hoc and provisional.||WTO commitments are full and permanent..|